On the balance of probabilities where you own a flat in Whiston you actually own a long leasehold interest over your property
Leasehold premises in Whiston with over one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
The conveyancing solicitors that we work with undertake Whiston lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Ben was the the leasehold owner of a 2 bedroom apartment in Whiston on the market with a lease of a few days over 61 years remaining. Ben informally spoke with his freeholder a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent initially set at £100 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Ben to invoke his statutory right. Ben procured expert legal guidance and secured satisfactory deal without going to tribunal and sell the property.
Dr B López took over the lease of a ground floor apartment in Whiston in June 2010. We are asked if we could approximate the premium would be for a ninety year lease extension. Similar properties in Whiston with 100 year plus lease were worth £193,400. The average amount of ground rent was £65 billed every twelve months. The lease elapsed on 8 July 2085. Considering the 59 years left we approximated the compensation to the landlord for the lease extension to be within £21,900 and £25,200 exclusive of costs.
In 2010 we were approached by Dr Alisha Davies who, having owned a newly refurbished apartment in Whiston in March 2009. The dilemma was if we could shed any light on how much (approximately) premium would be for a ninety year lease extension. Similar homes in Whiston with a long lease were in the region of £255,000. The average ground rent payable was £50 collected monthly. The lease expiry date was in 2096. Taking into account 70 years unexpired we approximated the premium to the landlord for the lease extension to be between £10,500 and £12,000 not including costs.